Why might an advertiser bid on brand keywords?

Bidding on brand keywords (e.g., your company name or product names) is primarily done for a higher chance of conversion. Users searching for your brand are already familiar with it and are often further down the purchase funnel, indicating a strong intent to buy. By bidding on these terms, you ensure your ad appears prominently, capturing these high-intent searches and preventing competitors from poaching them. While it doesn't necessarily provide a wider reach (as it targets existing brand awareness), it optimizes for converting existing interest into sales.